$150 Billion in ‘Lost’ Bitcoin: A Firm’s Unusual Claim Attempt
A firm identifying itself as Salomon Brothers has initiated a novel, adn likely unsuccessful, strategy to perhaps claim ownership of a meaningful amount of Bitcoin deemed “abandoned.” The firm sent on-chain messages to wallets holding approximately 2.33 million BTC (currently valued around $150 billion) asserting the need for owners to prove they hadn’t relinquished control of their funds.
These messages served as a warning: if no response was received within 90 days, the firm indicated it might pursue legal action.the unusual tactic sparked considerable community interest, evidenced by one Bitcoin holder moving tokens worth around $9.7 billion in response to the notices. The number of wallets still actively controlled by their owners remains unknown.
While the effort appears unconventional, a representative from Salomon Brothers defended the strategy, framing it as a measure to enhance on-chain security. As they stated in a recent communication: “Securing wallets protects the millions of wallets that are not abandoned.Risks to all digital wallet holders include government-imposed regulatory limits on crypto holdings in an effort to protect the integrity of crypto markets. All wallet holders thus have an interest in supporting the resolution of this problem.”
The firm’s approach appears to be an attempt to establish a legal precedent regarding unclaimed bitcoin. Several jurisdictions already include abandoned cryptocurrency within unclaimed property laws, and substantial amounts of BTC are known to be lost or inaccessible.Salomon Brothers seemingly aims to leverage these laws to gain custody of the identified assets. the on-chain notification campaign required significant technical expertise and reportedly cost tens of thousands of dollars to execute.
However,legal experts suggest the firm faces insurmountable obstacles. Bitcoin’s decentralized nature and global reach present a major challenge. Successfully litigating ownership in every relevant jurisdiction worldwide – including individual US states and international territories - is considered virtually impractical.
Furthermore, even securing a favorable legal ruling wouldn’t grant Salomon Brothers access to the funds without the corresponding private keys. The path from legal precedent to actual asset control appears highly improbable.
Analysts believe this may be a scare tactic designed to encourage owners to move or claim their Bitcoin, or an attempt to initiate a few strategically chosen lawsuits in favorable locations. Despite the long odds, even a single accomplished case could yield substantial returns, potentially paving the way for future legal challenges.
Ultimately, the firm’s efforts are considered unlikely to succeed given the numerous legal and technical hurdles.Bitcoin owners are advised not to be overly concerned about potential seizure efforts like this one, and the possibility remains that many of these wallets are either destroyed or still under the control of their rightful owners.
